The announcement came as Loblaw raised its quarterly dividend to 29.5 cents per share from 27 cents per share and reported improved quarterly earnings.

Loblaw earned a profit attributable to common shareholders of $377 million or 98 cents per diluted share on $10.37 billion in revenue for the quarter ended March 24. That compared with a profit of $232 million or 58 cents per share on $10.40 billion in revenue in the same quarter last year.